This historic Japanese city is hiking its tourist tax by 900% to stop you coming

Kiyomizu-dera temple in Kyoto, Japan, on a bright sunny day.
Looking to visit Japan next year? You might want to adjust your budget (Picture: Getty Images)

Traditional tea houses, ornate temples, late-night ramen culture, pink cherry blossom, and autumn leaves that turn a crisp, deep red.

These are just some of the many things Japan is famous for – and tourist numbers have skyrocketed in recent years. According to the Japanese Tourist Board, 24,955,390 people flocked there between January and July this year, an increase of 4.4% from 2024.

But now, one historic Japanese city is fighting back against overtourism with a 900% tourist tax that could see visitors paying up to ¥10,000 (£49.19) per night to stay in luxury hotels.

Kyoto is inundated with historical sites, from Nijo Castle to the Kyoto Imperial Palace, but it’s about to get a lot more expensive to visit.

A tourist tax for the district was first introduced in 2018, but from March 2026, the rates will be significantly increased.

At the moment, the charge is restricted to ¥1,000 (£4.92) per night, but once introduced, the new rules could lift the city’s annual revenues taken purely from accommodation tax from ¥5.2 billion (£25,589,200) to ¥12.6 billion (£62,029,800) annually.

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Tranquil Sunset Over Kyoto Traditional Street
The taxes will be charged depending on accommodation type (Picture: Getty Images)

wooden material path and red maple leaves
Japan is famous for its red maple leaves (Picture: Getty Images)

Wanting to visit next year? The rates will depend on what type of accommodation you’re staying in – and, naturally, the bougiest options will bear the most considerable brunt.

According to Euronews, rooms priced between ¥50,000 (£246.15) and ¥99,999 (£492.30) per night will have a ¥4,000 (£19.69) fee slapped on top, and lower-cost options ranging between ¥20,000 (£98.46) and ¥49,999 (£246.15) will pay more like ¥1,000 (£4.92), the same as the current rate.

If you want to save a few pennies, the good news is that budget accommodations with a nightly rate ranging between ¥6,000 (£29.53) and ¥19,999 (£98.44) will see charges capped at ¥400 (£1.97).

And, in the lowest bracket, hotels or hostels priced at ¥6,000 (£29.53) and below will only have to fork out ¥200 (98p, thankfully).

Are there cheaper alternatives to Kyoto?
Nara

Deer with Red Maple Trees in Autumn at Nara Park, Nara, Japan
Nara is one hour away from Kyoto by car (Picture: Getty Images)

Looking to dodge the tourist tax next year? Well, there are plenty of options relatively close by if you want to save a few pennies.

Laura Evans-Fisk, head of digital & engagement at eurochange recommends staying in Nara instead of Kyoto. It’s an hour away by car or 46 minutes on the Kintetsu-Kyoto train line – which means Kyoto is also within reach of a day trip, if you choose to base your digs here instead.

Laura says: ‘Nara offers a similar temple experience with the added charm of over 1,000 free-roaming sacred deer in Nara Park. You get the ancient temples, the cultural significance, and adorable wildlife interactions – all with a fraction of Kyoto’s tourist density.’

Hakone

Fuji mountain and Red Torii Gate in Autumn, Lake Ashi, Hakone, Kanagawa, Japan from aerial view
Hakone has views of Mount Fuji in the distance (Picture: Getty Images)

If hiking up Mount Fuji isn’t your thing, you’ll still be able to catch a glimpse of it from Hakone, which, as Laura says, is nestled right in its ‘shadow.’

It might be slightly further afield from Kyoto than Nara, but it also represents the perfect opportunity to hop on board one of Japan’s iconic bullet trains on the onward journey.

Famously the most on-time service in the world, the Tokaido Shinkansen connects Kyoto to Odawara Station, where a bus can whisk you straight to Hakone.

‘Hakone combines active volcanic landscapes with quirky charm,’ Laura notes.

‘Here, you can visit sulfurous hot springs, cruise Lake Ashi on a replica pirate ship, and enjoy breathtaking views of Japan’s most iconic mountain.’

Okinawa

The Beautiful schools of Dark-banded fusilier (Pterocaesio tile) and Stout chromis (Chromis chrysura) and others in beautiful white beach and coral reef.
Okinawa has been likened to a ‘beach paradise’ (Picture: Getty Images)

Okinawa couldn’t be further from the hustle and bustle of Tokyo, Japan’s capital: the southernmost district, it’s a beautiful spot complete with ‘crystal-clear diving, exceptional year-round weather, and nine UNESCO-listed Ryukyu heritage sites.’

Laura likens it to ‘Japan’s best-kept secret for history buffs who also want beach paradise.’ You’ll want to pack your snorkel for this one.

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